I'm sorry, but I fail to see the confusion here.
Designing other apps/protocols on top of the blockchain (big B Bitcoin) can be confused with the currency (little b bitcoin). There needs to be a differentiation between the protocol and the tokens.
I don't think so and don't see the confusion. Bitcoin is the whole system but the coins are what you own / spend. People know which you're referring to given the context.
I agree there's not much confusion now.
But imagine developing upon a protocol called the Dollar and you spend dollars. It'll become a more confusing term in the future if bitcoin ever becomes a mainstream currency. The blockchain is MORE than just a currency.
I want to create contracts, social media, and various apps (anything that needs ownership) using this ledger/consensus technology. The actual world-changing protocol should not have the same name as the currency that stems from it.
Just my $.02